Asana (NYSE:ASAN) Announces Quarterly Earnings Results

Asana (NYSE:ASAN) posted its earnings results on Thursday. The company reported $0.10 EPS for the quarter, beating the consensus estimate of $0.09 by $0.01, FiscalAI reports. The company had revenue of $216.43 million for the quarter, compared to the consensus estimate of $214.15 million. Asana had a negative return on equity of 74.32% and a negative net margin of 20.21%.During the same quarter in the prior year, the business earned $0.06 earnings per share. The firm’s revenue for the quarter was up 9.9% on a year-over-year basis. Asana updated its FY 2027 guidance to 0.370-0.370 EPS and its Q3 2027 guidance to 0.080-0.080 EPS.

Here are the key takeaways from Asana’s conference call:

• Q2 revenue and profitability exceeded expectations: revenue rose 10% year over year to $216.4 million, while non-GAAP operating margin expanded to 10%.
• AI Studio and AI Teammates generated approximately 25% of net new ARR, up from 17% in the prior quarter, and adoption among customers spending over $100,000 reached more than 25%. Management said AI adopters are retaining and expanding faster than the broader customer base.
• Core business health improved, with overall net retention rising to 97%, core-customer and $100,000-plus-customer retention reaching 98%, and current RPO growth accelerating to approximately 11% excluding a prior-year large contract comparison.
• The company expects ongoing pressure from weaker product-led-growth bookings, weighing on revenue growth by about 100 basis points in Q3 and 150 basis points in Q4. The shift to Agentic Work Management and consumption-based AI revenue recognition will also create a $1.2 million second-half revenue-timing headwind and approximately 150 basis points of gross-margin pressure.
• Asana plans to launch Agentic Work Management in mid-September, embedding AI Teammates, AI Studio, and Dash into paid tiers, while Client Management, Service Management, and Command expand into adjacent markets. Management expects limited FY2027 revenue from these newer applications, with a more meaningful contribution anticipated in FY2028.

Asana Trading Up 2.6%

NYSE:ASAN opened at $10.05 on Friday. Asana has a 12 month low of $5.38 and a 12 month high of $15.71. The stock has a market capitalization of $2.32 billion, a price-to-earnings ratio of -14.57 and a beta of 0.95. The firm has a fifty day simple moving average of $8.40 and a two-hundred day simple moving average of $7.36.

More Asana News

Here are the key news stories impacting Asana this week:

• Positive Sentiment: Asana reported fiscal Q2 2027 adjusted earnings of $0.10 per share, above the $0.09 consensus estimate, while revenue rose 9.9% year over year to $216.43 million, exceeding expectations of $214.15 million. Asana Announces Second Quarter Fiscal 2027 Results
• Positive Sentiment: Management raised fiscal 2027 adjusted EPS guidance to $0.37, well above the $0.22 analyst consensus, and forecast revenue of $858.5 million to $863.5 million, broadly in line with the $860.7 million consensus. Asana forecasts FY2027 revenue and Agentic Work Management rollout
• Positive Sentiment: Asana plans to roll out its “Agentic Work Management” offering in mid-September and cited improving retention, stronger upmarket sales momentum and growing adoption of its AI products as potential growth drivers.
• Neutral Sentiment: Third-quarter EPS guidance of $0.08 is above the $0.05 consensus, but revenue guidance of $217 million to $219 million is centered near expectations, offering limited evidence of accelerating top-line growth.
• Negative Sentiment: The stock initially declined after the report despite the earnings beat. Investors appeared focused on Asana’s modest near-term revenue outlook and ongoing profitability concerns, including a negative net margin and negative return on equity. Asana stock reaction to Q3 outlook

Insider Activity at Asana

In other news, insider Katie Colendich sold 8,337 shares of the stock in a transaction dated Wednesday, June 24th. The shares were sold at an average price of $6.74, for a total transaction of $56,191.38. Following the transaction, the insider owned 181,840 shares of the company’s stock, valued at $1,225,601.60. This represents a 4.38% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CAO Veronica Sosa sold 11,378 shares of the firm’s stock in a transaction that occurred on Monday, June 22nd. The shares were sold at an average price of $6.66, for a total value of $75,777.48. Following the completion of the sale, the chief accounting officer directly owned 62,344 shares of the company’s stock, valued at $415,211.04. This trade represents a 15.43% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders have sold a total of 119,959 shares of company stock worth $809,325 over the last three months. 87.54% of the stock is currently owned by company insiders.

Institutional Trading of Asana

A number of hedge funds and other institutional investors have recently bought and sold shares of the business. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. lifted its stake in shares of Asana by 5.0% in the first quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 48,546 shares of the company’s stock valued at $707,000 after buying an additional 2,328 shares in the last quarter. Empowered Funds LLC lifted its stake in Asana by 40.9% during the 1st quarter. Empowered Funds LLC now owns 25,441 shares of the company’s stock valued at $371,000 after acquiring an additional 7,381 shares in the last quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC lifted its position in shares of Asana by 14.5% during the first quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 258,733 shares of the company’s stock valued at $3,770,000 after purchasing an additional 32,708 shares in the last quarter. American Century Companies Inc. purchased a new position in Asana during the second quarter worth about $158,000. Finally, Prudential Financial Inc. bought a new stake in Asana in the 2nd quarter worth about $160,000. Institutional investors own 26.21% of the company’s stock.

Analyst Ratings Changes

Several research analysts have recently commented on the stock. KeyCorp lowered their target price on shares of Asana from $15.00 to $13.00 and set an “overweight” rating on the stock in a report on Friday, May 29th. Morgan Stanley decreased their target price on shares of Asana from $8.00 to $7.00 and set an “underweight” rating on the stock in a research note on Friday, May 29th. Zacks Research downgraded Asana from a “strong-buy” rating to a “hold” rating in a report on Tuesday, August 25th. DA Davidson reissued a “neutral” rating and set a $8.00 target price on shares of Asana in a research report on Friday, May 29th. Finally, Citizens Jmp reaffirmed a “market outperform” rating and set a $15.00 target price on shares of Asana in a research note on Tuesday, July 7th. Four analysts have rated the stock with a Buy rating, eight have assigned a Hold rating and two have given a Sell rating to the stock. According to MarketBeat.com, the stock has a consensus rating of “Hold” and an average price target of $9.27.

About Asana

Asana, Inc (NYSE: ASAN) is a leading provider of work management and collaboration software designed to help teams organize, track and manage their work. Founded in 2008 by Dustin Moskovitz and Justin Rosenstein, Asana’s platform enables users to create projects, assign tasks, set deadlines and visualize progress across diverse workflows. The company’s cloud-based solution includes customizable project templates, timeline views, boards and automated rules that streamline routine processes and reduce manual effort.

Built for both small teams and large enterprises, Asana supports integrations with a wide array of third-party applications, including communication tools, file-sharing services and DevOps platforms.